Use the following information for the Exercises below. [The following information applies to the questions displayed below.] Allied Merchandisers was organized on May 1, Macy Company is a major customer (buyer) of Allied (sciler) products. May 3 kilied made its first and only purchese of Inventory for the period on May 3 for 2,000 units at a price of $7 cash per unit (for a total eost of $14,000 ). May 5 silied sold 1,000 of the usits in inventory for $11 per unit (involce totals 511,000) to Macy Company under oredit teran 2/10,n/60. The qoods cost Aliled $7,000. restores the anith, which cost $700, to its inventory. May 8 Macy discovers tbat 100 units are meuffed but are etili of use and, therefore, keeps the units, Alifed gives a price reduction (allowance) and oredita Macy's accousts receivable for $300 to corpensate for the danage. May 15 Allied receiven payment from Macy for the altount owed on the May 5 purchase; paymest is net of returns, allowances, and any canh discount. Exercise 4-7 (Algo) Effects of sales transactions on income statement LO P2 Use the above informations, analyze each transaction by indicating its effects on the income statement-specificaly, identily the accounts and amounts (including + or - ) for each transaction. ctions on income statement LO P2 n by indicating its effects on the income statement-specifically, identify the saction